{"id":61456,"date":"2023-04-27T16:17:48","date_gmt":"2023-04-27T13:17:48","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=61456"},"modified":"2025-10-17T12:45:59","modified_gmt":"2025-10-17T09:45:59","slug":"wti-extends-decline-as-recession-worries-reignite","status":"publish","type":"post","link":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/","title":{"rendered":"WTI extends decline as recession worries reignite"},"content":{"rendered":"<p><a href=\"https:\/\/www.ironfx.com\/en\/wti-fails-to-capitalize-on-bullish-momentum-slides-below-80-mark\/\" target=\"_blank\" rel=\"noreferrer noopener\">WTI prices<\/a> fell to their lowest levels this month, crossing below the $75 per barrel mark of which crude spiked following OPEC+ surprise output cut announcement, as recession worries resurfaced. Earlier this month crude prices hit a five-month high but as growth concerns started to recirculate the market and the dollar came under pressure, WTI shed more than 10% of its value and 6% respectively in the past two sessions. In this report we aim to shed light on the catalysts driving WTI\u2019s price, assess its future outlook and conclude with a technical analysis.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><strong>US GDP falls below estimates<\/strong><\/strong><\/h2>\n\n\n\n<p>Earlier today, preliminary growth data from the US for the first quarter of 2023 came in below expectations showcasing that the world\u2019s largest economy is facing significant stress and may very well be on track to enter a recession in the second quarter of this year. More specifically the Q1 GDP rate was reported at 1.1%, far lower than expectations for a slowdown to the 2% level and the 2.6% of the previous quarter. The results could stir further market worries, which have reignited after a series of disappointing economic releases alongside the resurfacing of banking worries stemming from First Republic\u2019s recent shortfalls. Adding more fuel to the fire, the prospect for tighter financial conditions from higher interest rates from central banks such as the Fed, ECB and BoE all of whom the scenario for 25 basis points hike is the go-to scenario in their respective upcoming meetings, could severely impact the demand levels for energy in the Western world.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><strong>Large stockpile drawdowns fail to support WTI prices<\/strong><\/strong><\/h2>\n\n\n\n<p>US crude oil inventories recorded large drawdowns for the second consecutive week, showcasing relatively <strong>strong<\/strong> <strong>domestic<\/strong> <strong>demand<\/strong> levels, however, <strong>crude<\/strong> <strong>prices<\/strong> maintained their <strong>downward<\/strong> <strong>trajectory<\/strong> seemingly unfazed. On Tuesday the weekly <strong>API crude oil inventories<\/strong> figure pointed to a drawdown of 6 million barrels in stocks, higher than the expectation of 1.6-million-barrel drawdown. Similarly, <strong>EIA\u2019s weekly oil inventories<\/strong> recorded drawdowns of more than 5 million barrels, above estimates of 1.5 million barrels for the same period. The results suggest that demand picked up in the past week as <strong>domestic producers are eager<\/strong> to <strong>expand<\/strong> or at <strong>least<\/strong> <strong>maintain<\/strong> the current output levels of their activities. Given the results, we would have reasonably expected to observe a <strong>boost<\/strong> in <strong>crude<\/strong> <strong>prices<\/strong>, reflecting the <strong>increase<\/strong> in <strong>demand<\/strong>, yet that was not the case, possibly due to the worries for a <strong>recession<\/strong> having a one-sided negative effect on <strong>WTI<\/strong>. Lastly, we would like to point out that last Friday the <strong>Baker Hughes oil rig count<\/strong> report showed that the number of <strong>active oil rigs<\/strong> in the US, increased by a count of 3 reaching a total of 591, which could serve as another indication of increased <strong>demand for crude<\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-technical-analysis\"><strong>Analisis Teknikal<\/strong><\/h2>\n\n\n\n<figure class=\"wp-block-gallery has-nested-images columns-default is-cropped wp-block-gallery-1 is-layout-flex wp-block-gallery-is-layout-flex\">\n<figure class=\"wp-block-image size-full\"><img fetchpriority=\"high\" decoding=\"async\" width=\"624\" height=\"291\" data-id=\"61458\" src=\"\/wp-content\/uploads\/2023\/04\/xau-usd-4h-chart-27-04-2023-technical-analysis.png\" alt=\"\" class=\"wp-image-61458\"\/><\/figure>\n<\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Support: 72.00 (S1), 67.00 (S2), 62.00 (S3)<\/li>\n\n\n\n<li>Resistance: 77.00 (R1), 83.00 (R2), 88.00 (R3)<\/li>\n<\/ul>\n\n\n\n<p>Looking at WTICash 4-hour chart we see observe <strong>crude<\/strong> extending its losing streak, plunging below the $75 per barrel level where prices spiked at the start of the month after <strong>OPEC\u2019s surprise<\/strong> <strong>production cut announcement<\/strong>. We hold a <strong>bearish outlook bias<\/strong> for the <strong>commodity<\/strong> given that prices remain below the <strong>descending trendline<\/strong>, incepted on the 13<sup>th<\/sup> of April, and highlight the <strong>bears\u2019<\/strong> resolve to push prices lower. Supporting our case is the <strong>RSI indicator<\/strong> below our 4-hour chart which currently registers a value of 29, showcasing the <strong>extreme bearish sentiment<\/strong> that surrounds <strong>WTI<\/strong> in addition to the break of the lower bound of the <strong>Bollinger Band<\/strong>. Should the <strong>bears continue to reign<\/strong>, we may see the break below the 72.00 (S1) support level and the move near the 67.00 (S2) <strong>support<\/strong> base. We must note nonetheless that currently prices appear <strong>overextended<\/strong> and a possible <strong>correction<\/strong> higher may be due, as the <strong>bulls<\/strong> may be enticed to indulge in some <strong>dip buying<\/strong> activity. Should on the other hand the <strong>bulls<\/strong> step in, we may see the price climb and break past the 77.00 (R1) <strong>resistance<\/strong> level alongside the <strong>descending trendline<\/strong> and should the <strong>bullish momentum<\/strong> intensify we may see the crude prices climb even higher, near the 83.00 (R2) <strong>resistance<\/strong> barrier.<\/p>\n\n\n\n<p>Disclaimer:<br><em>This information is not considered investment advice or an investment recommendation, but instead a marketing communication. IronFX is not responsible for any data or information provided by third parties referenced or hyperlinked, in this communication.<\/em><\/p>","protected":false},"excerpt":{"rendered":"<p>WTI prices fell to their lowest levels this month, crossing below the $75 per&#8230;<\/p>","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-61456","post","type-post","status-publish","format-standard","hentry","category-uncategorized","blog-category-commodities","entry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.3 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>WTI extends decline as recession worries reignite<\/title>\n<meta name=\"description\" content=\"This report will outline the most important and recent updates from the Oil market along with our observations of WTI\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ironfx.com\/ms\/wp-json\/wp\/v2\/posts\/61456\/\" \/>\n<meta property=\"og:locale\" content=\"ms_MY\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"WTI extends decline as recession worries reignite\" \/>\n<meta property=\"og:description\" content=\"This report will outline the most important and recent updates from the Oil market along with our observations of WTI\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/\" \/>\n<meta property=\"og:site_name\" content=\"Complete Turnkey Introducing Brokers (IB) Solution at IronFX\" \/>\n<meta property=\"article:published_time\" content=\"2023-04-27T13:17:48+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-10-17T09:45:59+00:00\" \/>\n<meta name=\"author\" content=\"IronFX Team\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/\"},\"author\":{\"name\":\"IronFX Team\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#\\\/schema\\\/person\\\/6727476356d10030d1564b38f6e699b1\"},\"headline\":\"WTI extends decline as recession worries reignite\",\"datePublished\":\"2023-04-27T13:17:48+00:00\",\"dateModified\":\"2025-10-17T09:45:59+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/\"},\"wordCount\":712,\"publisher\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#organization\"},\"articleSection\":[\"Uncategorized\"],\"inLanguage\":\"ms-MY\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/\",\"url\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/\",\"name\":\"WTI extends decline as recession worries reignite\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#website\"},\"datePublished\":\"2023-04-27T13:17:48+00:00\",\"dateModified\":\"2025-10-17T09:45:59+00:00\",\"description\":\"This report will outline the most important and recent updates from the Oil market along with our observations of WTI\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/#breadcrumb\"},\"inLanguage\":\"ms-MY\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/wti-extends-decline-as-recession-worries-reignite\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"WTI extends decline as recession worries reignite\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#website\",\"url\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/\",\"name\":\"Complete Turnkey Introducing Brokers (IB) Solution at IronFX\",\"description\":\"&quot;Our Introducing Brokers program offers competitive conditions tailored to our partners&#039; needs. Become an IB and enjoy the highest market rebates.&quot;\",\"publisher\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"ms-MY\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#organization\",\"name\":\"Complete Turnkey Introducing Brokers (IB) Solution at IronFX\",\"url\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"ms-MY\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"\\\/wp-content\\\/uploads\\\/2021\\\/07\\\/ironfx-forex-trading.jpg\",\"contentUrl\":\"\\\/wp-content\\\/uploads\\\/2021\\\/07\\\/ironfx-forex-trading.jpg\",\"width\":1200,\"height\":627,\"caption\":\"Complete Turnkey Introducing Brokers (IB) Solution at IronFX\"},\"image\":{\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#\\\/schema\\\/logo\\\/image\\\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/www.ironfx-cn.com\\\/ms\\\/#\\\/schema\\\/person\\\/6727476356d10030d1564b38f6e699b1\",\"name\":\"IronFX Team\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"ms-MY\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/92d752eefdd58f84a80c87c45e25d421800364fdd26cd623e15031af029eebef?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/92d752eefdd58f84a80c87c45e25d421800364fdd26cd623e15031af029eebef?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/92d752eefdd58f84a80c87c45e25d421800364fdd26cd623e15031af029eebef?s=96&d=mm&r=g\",\"caption\":\"IronFX Team\"}}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"WTI extends decline as recession worries reignite","description":"This report will outline the most important and recent updates from the Oil market along with our observations of WTI","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.ironfx.com\/ms\/wp-json\/wp\/v2\/posts\/61456\/","og_locale":"ms_MY","og_type":"article","og_title":"WTI extends decline as recession worries reignite","og_description":"This report will outline the most important and recent updates from the Oil market along with our observations of WTI","og_url":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/","og_site_name":"Complete Turnkey Introducing Brokers (IB) Solution at IronFX","article_published_time":"2023-04-27T13:17:48+00:00","article_modified_time":"2025-10-17T09:45:59+00:00","author":"IronFX Team","twitter_card":"summary_large_image","schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/#article","isPartOf":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/"},"author":{"name":"IronFX Team","@id":"https:\/\/www.ironfx-cn.com\/ms\/#\/schema\/person\/6727476356d10030d1564b38f6e699b1"},"headline":"WTI extends decline as recession worries reignite","datePublished":"2023-04-27T13:17:48+00:00","dateModified":"2025-10-17T09:45:59+00:00","mainEntityOfPage":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/"},"wordCount":712,"publisher":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/#organization"},"articleSection":["Uncategorized"],"inLanguage":"ms-MY"},{"@type":"WebPage","@id":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/","url":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/","name":"WTI extends decline as recession worries reignite","isPartOf":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/#website"},"datePublished":"2023-04-27T13:17:48+00:00","dateModified":"2025-10-17T09:45:59+00:00","description":"This report will outline the most important and recent updates from the Oil market along with our observations of WTI","breadcrumb":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/#breadcrumb"},"inLanguage":"ms-MY","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.ironfx-cn.com\/ms\/wti-extends-decline-as-recession-worries-reignite\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.ironfx-cn.com\/ms\/"},{"@type":"ListItem","position":2,"name":"WTI extends decline as recession worries reignite"}]},{"@type":"WebSite","@id":"https:\/\/www.ironfx-cn.com\/ms\/#website","url":"https:\/\/www.ironfx-cn.com\/ms\/","name":"Penyelesaian Broker Pencadang (IB) Siap Guna yang Lengkap di IronFX","description":"&quot;Our Introducing Brokers program offers competitive conditions tailored to our partners&#039; needs. Become an IB and enjoy the highest market rebates.&quot;","publisher":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.ironfx-cn.com\/ms\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"ms-MY"},{"@type":"Organization","@id":"https:\/\/www.ironfx-cn.com\/ms\/#organization","name":"Penyelesaian Broker Pencadang (IB) Siap Guna yang Lengkap di IronFX","url":"https:\/\/www.ironfx-cn.com\/ms\/","logo":{"@type":"ImageObject","inLanguage":"ms-MY","@id":"https:\/\/www.ironfx-cn.com\/ms\/#\/schema\/logo\/image\/","url":"\/wp-content\/uploads\/2021\/07\/ironfx-forex-trading.jpg","contentUrl":"\/wp-content\/uploads\/2021\/07\/ironfx-forex-trading.jpg","width":1200,"height":627,"caption":"Complete Turnkey Introducing Brokers (IB) Solution at IronFX"},"image":{"@id":"https:\/\/www.ironfx-cn.com\/ms\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/www.ironfx-cn.com\/ms\/#\/schema\/person\/6727476356d10030d1564b38f6e699b1","name":"IronFX Team","image":{"@type":"ImageObject","inLanguage":"ms-MY","@id":"https:\/\/secure.gravatar.com\/avatar\/92d752eefdd58f84a80c87c45e25d421800364fdd26cd623e15031af029eebef?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/92d752eefdd58f84a80c87c45e25d421800364fdd26cd623e15031af029eebef?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/92d752eefdd58f84a80c87c45e25d421800364fdd26cd623e15031af029eebef?s=96&d=mm&r=g","caption":"IronFX Team"}}]}},"_links":{"self":[{"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/posts\/61456","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/comments?post=61456"}],"version-history":[{"count":0,"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/posts\/61456\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/media?parent=61456"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/categories?post=61456"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ironfx-cn.com\/ms\/wp-json\/wp\/v2\/tags?post=61456"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}